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    Intermediate Accounting Study Set 9
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    Exam 8: Valuation of Inventories: a Cost-Basis Approach
  5. Question
    Why Are Inventories Included in the Computation of Net Income
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Why Are Inventories Included in the Computation of Net Income

Question 30

Question 30

Multiple Choice

Why are inventories included in the computation of net income?


A) To determine cost of goods sold.
B) To determine sales revenue.
C) To determine merchandise returns.
D) Inventories are not included in the computation of net income.

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